Tag: FinCEN

Unlicensed Bitcoin Reseller Obtaining BTC from Bitfinex Faces Two-year Prison Sentence

Bitcoin users have often been a target for law enforcement agencies and governments. In the United States, that scrutiny is even bigger compared to most other countries around the world. One 22-year-old Bitcoin trader has now been sentenced to two years in prison and forfeiting financial assets for trading and selling Bitcoin in an unlicensed manner. Reselling Bitcoin Equals Money Transmitting Ever since Bitcoin started making media headlines, people have …
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FinCEN Labels ICOs and ICO Token Trading Platforms as Money Transmitters

It seems a very important piece of news has flown under the radar of cryptocurrency enthusiasts and experts. In a letter from February, FinCEN makes it clear they do not take kindly to ICOs or any platforms supporting this business model. In fact, they would prefer if all ICOs registered as money services businesses. It’s an interesting approach that could easily destroy the ICO industry as we know it today. FinCEN and …
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BTC-e Controls Just 55% of Customer Funds, Faces Penalties From FinCEN

Ever since the BTC-e exchange shut down unexpectedly, there have been very few updates on the matter. The alleged operator of the exchange remains in custody. A new document regarding the company has been issued by the U.S. Financial Crimes Enforcement Network (FinCEN) which does not bode all that well for Alexander Vinnik or the exchange. Additionally, information regarding BTC-e has been sent to police in the UK. What’s more, it appears …
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FinCEN Proposes New AML Guidelines For Unregulated Financial Service Providers

Various financial services providers in the US are still unregulated to this very day. Some of the Bitcoin companies will certainly fall into this category, but there are also banks that need to step up their game. FinCEN created a new proposal which introduces new AML requirements for these unregulated providers. Although this initiative focuses on banks alone, it is not unlikely this will extend to Bitcoin in the future. …
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